Summoned by Sebi to explain their fit and proper status to run MCX Stock Exchange, its promoter Financial Technologies India Ltd (FTIL) today presented their case before the regulator but Chairman Jignesh Shah was not at the hearing.

Group counsel Som Shekhar Sundesaran, who appeared before the Sebi hearing, refused to talk to the waiting media saying the matter is sub-judice.

He however, said the hearing on petition challenging FMC order is coming up for hearing at the Bombay High Court tomorrow.

Sebi officials could not be reached for comments.

Today's meeting followed a show cause notice issued by Sebi to Financial Technologies and others last month, soon after on December 18 commodities market regulator Forwards Markets Commission had said the group, its promoter Shah as well as senior executive Joseph Massey were not fit and proper to run any exchange.

The indictment came following a probe the FMC had conducted into the Rs 5,600 crore scam at the group promoted spot exchange NSEL which was shut since July 30 following trading of unlicensed forward instruments.

Sebi meeting relates to their 'fit and proper' status to run the group promoted stock exchange MCX-SX.

The FTIL group will have to reduce its shareholding in the stock exchange substantially else Sebi too may declare the group and the promoter not 'fit and proper'.

The Sebi showcasue notice asked FTIL to explain why it should not be directed to divest its equity holdings and warrants in MCX-SX.

In its reply to the Sebi, the company said the regulator should wait till the matter is disposed of by the high court.